That Christmas tree will cost you more this year: Inflation, supply issues are to blame

Christmas is around the corner — and many Americans are already getting a head start on decorating their homes for the holiday. 

Inflation is impacting businesses across the country, and that includes Christmas tree farms.

Riverview Christmas Tree Farm owner Todd Gannon of Canton, South Dakota, joined "Fox & Friends First" this week to discuss how his business has been impacted ahead of the holidays. 

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"Diesel fuel is more than double, fertilizer is more than double — even the smallest of things are up 20-30%," he said. 

The South Dakota, business owner said one of the issues he’s experiencing is the diesel price increase. He said fueling just one tractor can cost him several hundred dollars. 

Fertilizer, on the other hand, is costing him anywhere from $500-$800 per acre. 

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On top of inflation issues hitting the farm, Gannon said he and his team have been working through a Christmas tree shortage for a few years now. 

"We’ve been working through a shortage over the last couple of years," he said. 

Gannon noted that part of it can be traced back to a drought in 2012 when seedlings were being planted. 

"The last couple of growing seasons have been pretty ‘drought-stricting’ for us, so we just haven’t gotten the growth out of the trees," she said. 

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Although the supply side is struggling — demand remains strong.

Gannon said people are still coming to pick up their tree, no matter the cost. 

The Christmas tree farm owner increased his prices 10% this year to try to make up for some of his loss. 

He said that even with some supply prices up 100%, he didn’t want to shock the customers by increasing the sticker price more.  

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"Our family, we’re Midwestern farmers, so we’ll work hard and get through it," he said. 

His favorite type of Christmas tree is a Frasier fir, but it depends on what a customer is looking for, said Gaston.

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The farm also offers painted trees in various colors for those who want a colorful Christmas. 

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"My two boys picked out a blue tree this year, so we’ll have a blue Christmas tree at our house," he said. 

To learn more about costs this holiday season, check out this video: